Union Gas Security Deposit

In most cases, if you are a new customer to Union Gas you will be required to pay a security deposit upon opening your account. This is standard practice (all natural gas utilities in Ontario charge security deposits upon for new account holders) and falls within Ontario Energy Board (OEB) customer service standards for natural gas distributors.

Below are some responses to common questions that you might have about paying a security deposit for Union Gas Ltd.

How Much Security Deposit Does Union Gas Require?

New residential Union Gas customers typically pay a security deposit equal to the cost of two months average use, based from the historical consumption of the residence over the past 12 months.

How Do I Pay My Union Gas Security Deposit?

While you can pay your security deposit all at once, you can also pay it over monthly installments, for a maximum of 6 months. You will not have to pay any interest on the deposit if you choose to pay it in installments.

When Will Union Gas Return My Security Deposit?

Union Gas will pay your security back to you after 12 months of consecutive good payment history. In other words, if you are not late or miss a bill payment you should receive your security deposit after one year. Union Gas will return your security deposit to you with interest (based on the OEB approved short-term borrowing interest rate. Unless you close your account, Union Gas will return this deposit to you in the form of a credit on your bill. If you close your account with a security deposit still on record, Union Gas will return it as a refund on your bill, or as a refund cheque.

If you are late on a payment, the 12-month good payment period will be reset. If you move within this 12-month good payment period, your security deposit will be reviewed based on the consumption history for your new property.

When and How Will Union Gas Ltd. Waive a Security Deposit?

Union Gas will waive the security deposit for new customers in two circumstances:

• You sign up for both the Automatic Payment Plan and the Equal Billing Plan
  Through the Automatic Payment Plan you continue to receive monthly bills, but the monthly bill amount is automatically debited from your account one day before the due date. When you are on the Equal Billing Plan your yearly consumption is estimated and spread out throughout the year, so that you pay the same amount each month for 11 months. Your account is balanced once a year, in August. Though the plan is organized to run from September to July, you can join at any time. Your monthly consumption is tracked against your estimated annual consumption for accuracy, and the monthly amount adjusted mid-year if necessary. Your annual charges are estimated based on your consumption history (or the consumption history for your residence), and the expected gas rates.
• You are able to demonstrate good payment history from another utility
  In order to demonstrate good payment history, you must provide a letter of reference from another Canadian electric or natural gas utility, or from a Spectra company. This letter must show at least 12 months good payment history, and must be dated from within the past 60 days. To have your security deposit waived, you should email this letter to [email protected], with your 14-digit Union Gas account number included.

Low-Income Customers

Union Gas will waive the security deposit for eligible low-income customers (those who have qualified as Low-income by a Social or Government Agency, or for Emergency Financial Assistance) who have not had their gas service disconnected for non-payment and who are enrolled in the Equal Billing Plan. Low-income customers may also have late payment charges waived if they have made special payment arrangements with Union Gas through their Low-Income Customer Services Policies Program. Contact Union Gas customer service at 1-888-774-3111 for more information if you think you are eligible.

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Starting service with Union Gas